Allegiant and Sun Country may be within weeks of completing their merger.
The US Department of Transportation (DOT) has approved US discount airline company Allegiant Travel Group’s planned acquisition of competitor Sun Country Airlines Holdings, positioning the companies to close their deal as soon as 13 May.
That date is sooner than previously stated by Allegiant Travel, owner of Allegiant Air. When revealing its intention to acquire Sun Country in January, Allegiant estimated it would close the deal in the second half of this year.
Allegiant on 15 April revealed that the DOT had approved its and Sun Country’s “joint interim exemption application”, adding that the approval allows the airlines to continue operating as separate carriers following the acquisition.
“Allegiant and Sun Country will continue to operate independently, preserving their unique business models, route networks and customer experiences while advancing toward a single operating certificate,” Allegiant says. “The companies believe this structure will enable both airlines to continue delivering value to customers, employees and stakeholders while ensuring operational continuity.”
The DOT’s approval “satisfies the last remaining regulatory approval-related condition to the closing of the proposed transaction”, Allegiant adds. The deal remains contingent, however, on conditions that include approval by shareholders of both companies.
“Allegiant and Sun Country now expect the closing to occur as early as May 13, 2026 following shareholder approval at the special meetings”. Those meetings are scheduled for 8 May.
At end-2025, Las Vegas-based Allegiant Air operated 123 aircraft, including 16 Boeing 737 Max 8-200s and a mix of 107 Airbus A319s and A320s, while Sun Country, based in Minneapolis, operated 70 737NGs, according to securities filings.
The post Now with DOT approval, Allegiant positioned to close Sun Country purchase next month first appeared on FlightGlobal.